Videocon interested in Motorola's handset business
updated 04:55 pm EDT, Sat April 5, 2008
Videocon wants Moto phones
As Motorola announces its desire to spin off its handset and broadband business as independent public companies, Videocon Industries is first to throw its hat into the ring, filing an expression of interest document for the former of the two departments. According to DeepikaGlobal, there will be a delay in the decision, however, since the acquisition process is required to be cleared by the regulatory body. Videocon chairman and managing director V. N. Dhoot told reporters of its intents.
"We have submitted the EoI for the Motorola's handset business, and that will take some time because of regulatory clearance in the United States," said Dhoot.
In the past year, Motorola is facing increased pressure from rival handset manufacturers, having lost its coveted second-tier position next to worldwide leader Nokia, which has since been filled by Samsung. The loss of sales is also responsible for the company cutting 10,000 jobs from its workforce, with several unannounced practices to take place as part of the company trimming $500 million from its yearly spending.
